BOA (and Kangta) are making money

[juhli.livejournal.com]

Kangta and BoA who are both creative directors at SM are shared to have earned more than 100 million won (~ US$88,000) just through stock options last year
https://t.co/wHvvE1K9ay pic.twitter.com/uAjGmWZDbz

— 파룬 (@balloon_wanted) March 6, 2019

Kangta and BoA who are both creative directors at SM are shared to have earned more than 100 million won (~ US$88,000) just through stock options last year.

source: balloon_wanted, naver

Comments

[setsuna16.livejournal.com]

My Queen be getting COIN.

[dior-chic.livejournal.com]

Yes!!!!

[xoxkenzxox.livejournal.com]

I need our donald drump resident for the business analysis.

While stock options are great and it's how a lot of executives roll in the money, aren't stock options dependent on the company continuing to raise stock price? And it's not actually cash in their bank account until they sell? Better keep that stock price up.

[donaldjdrumpf.livejournal.com]

Drumpf oppa is here for you, bb!! So instead of being paid cash for their work as creative directors, they were given stock in SM instead. At $88,000+ US or 100,000,000 KRW they were probably given more than 2,000 shares of SM which is trading at like 46,000 KRW rn but last year was often around the 40,000 KRW mark. (Maybe it was 3,000 shares, who knows exactly?).

Let's say it was worth $88,000 USD when it was given to them. Yea if the stock falls it would be worth less and they'd have been better off taking cash, but the stock could also appreciate (and it was a lot in the past year) and could be worth much, much more. So it's a bit of a risk, but Boa and Kangta are probably confident in the company and betting SM will continue to perform well and it'll be the better decision.

Also not sure about Korean tax law, but some countries don't tax employee stock options as income until those shares are eventually sold and the capital gains realized. So instead of receiving $88,000 USD in cash and having to pay tax on that in 2018, they can take it as a stock option and not have to pay tax until they sell the shares. So it can be a tax deferred way of receiving income for your work (tax deferred as in 'you don't have to pay any tax on that income right away').

Technical note: The shares probably weren't just given to Boa and Kangta for $0. The $88,000+ USD likely represents the discount they received from the share price (I could be wrong). It could be somerhing like SM saying:

"We'll give you 4,000 shares in SM worth $40 each for only $18/share. You're getting a $22/share discount X 4,000 shares so = $88,000 USR or 100,000,000 KRW.

Tldr; Eat the rich (except me!).

[xoxkenzxox.livejournal.com]

Gracias. I slept through the part in accounting class about stock options so I really couldn't remember much about them. Only a vague recollection...

[doseh.livejournal.com]

I did a double take with that title. Read it as Boa and Kangta are making out. XD I'm really scrolling through Omona half asleep. Haha XD

Anyway, good for them!

[pinkosa.livejournal.com]

I wonder the same. I know she has a lot of input in her stuff, they don't treat her like "we want you to do this", it's more like "i want to do this and that". I can see Kangta having input in whatever Taemin is doing...

[carmine-pink.livejournal.com]

Taemin himself is established enough to have input in what he's doing. Don't know about Kangta but Taemin even went against Lee Soo Man in choosing Move as a title track (LSM suggested Love).

[aeries-amethyst.livejournal.com]

I feel like BoA has more creative control now but I do wonder if she ever has to end up funding some of her ventures.

Yeah, I can hardly get into NCT's music but the music for every other active group is more or less spot on.

[aures.livejournal.com]

well good for them! go boa!